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The impact of food and economic crises on diet and nutrition

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  • Ralitza Dimova
  • Ira N. Gang
  • Monnet B. P. Gbakou
  • Daniel Hoffman

Abstract

Abstract Skyrocketing staple food prices in combination with falling incomes around the world raised serious concerns among policy makers, media and the public at large over the past few years. We rigorously explore the dietary and nutritional implications of such shocks in a before, during and after manner. We find not only a tendency of households to reallocate their consumption baskets during a crisis, but also a dramatic change in the income and price elasticities of demand for both food and nutrients. Our results challenge the implicit assumption of relatively low and invariable price and income elasticities of demand for food and nutrition in the existing literature and have potentially important policy implications.

Suggested Citation

  • Ralitza Dimova & Ira N. Gang & Monnet B. P. Gbakou & Daniel Hoffman, 2012. "The impact of food and economic crises on diet and nutrition," Brooks World Poverty Institute Working Paper Series 17512, BWPI, The University of Manchester.
  • Handle: RePEc:bwp:bwppap:17512
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    References listed on IDEAS

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    1. Crawford, Ian & Laisney, Francois & Preston, Ian, 2003. "Estimation of household demand systems with theoretically compatible Engel curves and unit value specifications," Journal of Econometrics, Elsevier, vol. 114(2), pages 221-241, June.
    2. Steven Stillman & Duncan Thomas, 2008. "Nutritional Status During an Economic Crisis: Evidence from Russia," Economic Journal, Royal Economic Society, vol. 118(531), pages 1385-1417, August.
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    5. Ecker, Olivier & Qaim, Matin, 2011. "Analyzing Nutritional Impacts of Policies: An Empirical Study for Malawi," World Development, Elsevier, vol. 39(3), pages 412-428, March.
    6. Diagana, Bocar & Akindes, Francis & Savadogo, Kimseyinga & Reardon, Thomas & Staatz, John, 1999. "Effects of the CFA franc devaluation on urban food consumption in West Africa: overview and cross-country comparisons," Food Policy, Elsevier, vol. 24(5), pages 465-478, October.
    7. Kuo S. Huang, 1996. "Nutrient Elasticities in a Complete Food Demand System," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 21-29.
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    Cited by:

    1. Shabnam, Nadia & Santeramo, Fabio Gaetano & Seccia, Antonio & Asghar, Zahid, 2016. "The Impact of the Food Price Crises on the demand for nutrients in Pakistan," MPRA Paper 72971, University Library of Munich, Germany.
    2. Nadia Shabnam & Fabio Gaetano Santeramo & Zahid Asghar & Antonio Seccia, 2016. "The Impact of Food Price Crises on the Demand for Nutrients in Pakistan," Journal of South Asian Development, , vol. 11(3), pages 305-327, December.

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